Tony Abbott's austerity plan will drive Australia into recession

The Abbott government, under the direction of the Commission of Audit, is apparently going to pursue the policies of austerity that have proven to be such a failure in engendering economic growth in Europe (‘‘Canberra to be cut to bone’’, May 1).

The first rule of thumb in economics, before it became a mathematical pseudo-science propagandising for the desires of plutocrats, was enunciated by Sir Francis Bacon nearly 500 years ago. He said that “money is like muck [manure], not good unless it be spread”.

While austerity makes good sense politically – fear and economic stress make us more conservative – it is economic nonsense. The Abbott government is going to drive Australia into a recession that we don’t have to have.

Geoff Mullen McMahons Point

Tony Abbott thought he was untouchable until a few good men and women started to challenge him in the party room (‘‘Sales pitch: PM acts over party revolt’’, May 1). Hopefully they are not merely worried about the next election and their future job prospects but have the interests of the country as their motivation to stand up and be counted.

Denis Suttling Newport Beach

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Tony Abbott's current performance on keeping promises is consistent with his performance as leader of the opposition – no one should be surprised. What is surprising is the ability of money, advertising and spin to deceive the people of Australia to elect governments that act in the interests of powerful groups and rich individuals rather than the majority of the people.

Brewis Atkinson Nunawading (Vic)

Constantly, opinions based on assumptions made from conclusions drawn from hearsay and myths are passed on as facts to bolster flaky causes or personal paranoia, such as ALP leader Bill Shorten on a recent 7.30 claiming ‘‘the Abbott government does not believe in climate change’’, and now Colin Hesse (Letters, May 1) tells us "there is no budget crisis'', that it is ''but a creation of the Liberal Party". How Alice-in-Wonderland is that? Without truth, there is no validity.

Ron Elphick Buff Point

George Fishman (Letters, May 1) is in predictable denial regarding who is really to blame for Australia's structural deficit problems. John Howard and Peter Costello frittered away Australia's best-ever terms of trade on income tax cuts, middle- and upper-class welfare, and superannuation "reform" that massively advantaged the already wealthy.

Wayne Swan did what he could against unprecedented opposition ferocity. Means testing was introduced to stop some government benefits going to the rich, he got mostly foreign owned wealthy mining companies to pay a little bit more tax, and taxed polluters rather than the public.

Tony Abbott's hypocrisy in all this is finally coming home to roost.

Brendan Jones Annandale

Long-term ‘‘structural’’ reform for the less well off, and a short-term ‘‘levy’’ on the wealthy, seems fair to me.

Brenton McGeachie Queanbeyan

If Australia's chief economists are telling us the Abbott/Hockey panic tax is not warranted based on our economic figures, why then persist ("Obsession with deficit is not warranted, say economists", May 1). Is it contempt of the hard-working Australian families and their elderly parents who voted them into government? Or is it to camouflage inaction on their middle/upper class welfare programs? It seems the end of the age of entitlement only ends for those earning less than $100,000. Sorry grandma, back to work for you.

Don Smith Ashfield

It’s pretty obvious what’s going on here. The levy (tax) is imposed. Many groans from those affected. Then, in the budget before the next election, the levy is reduced or eliminated. Thank you, Tony Abbott. Kept his word – lower taxes.

Patrick Grant Kensington

No excuse not to remember war's carnage

The numbers quoted would stop any reasonable person in their tracks, and one can only imagine the scars inflicted on a tiny young society which led to what has become known as the ''national amnesia''.

The interwar generations faced daily reminders of the carnage and can perhaps be excused for wanting to put the horror behind them. We have no such excuse, and it is the young who are leading by example, turning up in their thousands to honour the dead and maimed of that epoch-changing conflict.

World War I may not have turned out to be the ''war to end all wars'', but it does at least continue to serve as a signpost of the cost of allowing the hawks free rein.

Justin Lowe Katoomba

Personal greed, bad; party benefits, OK

The allegations of corrupt conduct against various state politicians of both sides should be put into perspective (''Welcome to Fight Club, Young Liberal style'', May 1). The accusations against Labor Party members are about personal enrichment against the public interest by corrupt acts in government. The accusations against the Liberal Party members relate to evasion of restrictions on contributions to party funds and not personal enrichment.

The restrictions on sources of contributions were put in place by the ALP government ostensibly to prevent corrupt conduct but in effect were an attempt to reduce the fund-raising ability of the Coalition by prohibiting donations by certain classes of citizens by virtue of their occupation. These restrictions are of very doubtful legality; the ''tit for tat'' legislation curbing union donations was declared unconstitutional by the High Court in that it restricted a citizen's right to political involvement. Clearly this precedent should apply to other restrictions on potential donors.

The state government should move to repeal these laws on the grounds that they are unconstitutional, which would terminate this part of the ICAC investigations, and then move to public funding of campaigns to remove any potential pressure from donors. Naturally there would be restrictions on activities; I suggest that handing out material within 100 metres of the street entrance of a polling place should be prohibited.

Michael Lane St Ives

Come the backlash

If Tony Abbott and Joe Hockey think that there will be no backlash from low-income workers and pensioners, then they should think again. Tax havens are the biggest game in town without any government plans to rope in this obscene practice prior to the budget (''Tax havens reap $60 billion Australian business bonanza'', May 1). Preaching about cuts to pensions, health and education while ignoring this issue shows exactly who this government looks after.

When reading about this industry, for that's what it is if my reaction is anything like the rest of the population, then Abbott and Hockey should prepare themselves for a very rough ride indeed.

Zuzu Burford Heathcote

Credit where it is due

Leaving aside Tony Abbott's broken promises, Wayne Swan received plaudits from around the world for his nation-saving stewardship as treasurer during the global financial crisis, a phenomenon that the Liberal supporters want to treat as never having happened.

We were the only country that didn't slide into depression or recession, thanks entirely to our government's actions.

Peter Finnegan Burrill Lake

Shorten shortcoming

Jeez, Bill Shorten, why don't you take cartoonist Cathy Wilcox's advice? Get up and shout back at Tony Abbott, "Hypocrite! Hypocrite!", at every opportunity.

Pen Layton-Caisley Marrickville

Age enhances power of blue language

I am so with you, Elizabeth Farrelly, because for long-time walkers like myself, who do indeed meditate, meander and want to enjoy the moment, being maligned by bullies on bikes is not nice (''On yer bike, but please be sure to share footpath'', May 1). And although they come in all types, those sweet young girls on their French countryside bikes are by far the worst.

My personal strategy is to walk very, very early as they appear to be afraid of the dark, as well as cycling lanes. However I have been known, when pushed, to let out a string of four-letter insults that can shock them into silence. In a few seconds they have had to adjust their belief that middle-aged women are not invisible and do swear. Works a treat every time.

Wendy Atkins Cooks Hill

Don't be an old grump, Elizabeth Farrelly. Yes it's annoying to have your daydream interrupted by a bike bell, but how hard is it to step aside? Much better than being run down by a silent rider. Sydney is getting more crowded and we don't have the personal space we once did. Amsterdam-style bike roads are just a dream at this stage. Perhaps those double jogging prams should also ring a bell as they pass.

Lynne Cresswell Fairlight

Speaking from on high

Paul Sheehan echoes with apparent approval the Tony Abbott view that "motherhood is important for all women" as justification for the still overgenerous paid parental leave scheme (''Abbott prevails by tweaking plan for parental leave'', May 1). I suspect that this attitude is why the scheme wasn't "welcomed by working women and endorsed by progressive feminists", as Mr Sheehan suggests it should have been.

Mr Sheehan and the Prime Minister both see women on high incomes as "high achievers". This would not sound quite so attractive if women on lower incomes or those at home looking after children and not paid for their work were referred to as "low achievers".

Steve Bright North Avoca

Beauty down the drain

What a lost opportunity: "The grand vision of 19th century city planners that Alexandra Canal would be extended to create a grand waterway from Botany Bay to Sydney Harbour" ("Green Square's ancient flood threat down $80m drain'', May 1). Imagine yachts, launches, pleasure cruisers, even ferries, moving gently between these two vast expanses of water, and a cycle path along the tree-lined banks, rivalling the canals of Amsterdam or Stockholm. Now this grand vision is being realised as an underwater drain.

It would be interesting to know why the plan wasn't carried out. Like Barangaroo, was it the usual, small-minded, greedy commercial interests?

John Challis Elizabeth Bay

Honourable indeed

In my very long memory there has been no politician of any colour who has shown the absolute integrity of the very Most Honourable Senator John Faulkner (''Labor MPs surprised as Faulkner calls time'', May 1). He may now rest on his considerable laurels, and deserves every advantage awarded to retiring MPs and more.

Joan Croll Drummoyne

Joe Hockey is economical with truth

I have just been listening to Joe Hockey talk about the "terrible economy we have inherited" at today's audit report release (‘‘Pensioners, health face cuts’’, smh.com.au, May 1). The truth must be told.

Mr Hockey and Tony Abbott inherited an economy with a AAA credit rating. A rating the last Howard Liberal government could not attain and one held by only six other countries in the world; record low interest rates; record low inflation; the third-lowest debt in the world and low unemployment. As Australia's chief economists have stated, there is no budget emergency. It has been manufactured by Mr Hockey for political expediency.

Ray Armstrong Tweed Heads South

Vale Bob Hoskins

ALP should be on air

Perhaps the ALP should consider buying a radio station (‘‘ALP to launch its own news service’’, May 1). It's probably kicking itself that the Labour Council of NSW sold Radio 2KY in 2001 after it had been established since 1925.

Chew on this

Colourful characters

Joan Lemon of Orange has much more appeal as it has a nicer ring to it (Letters, May 1).

Alicia Dawson Balmain

I think, Joan Brown, that from experience, the definitive colour for Golden Oldies is the groovy purple.

June Benson Merrylands

Sad penguin truth

Yes, Jo McGahey (Letters, May 1), it is a stark scene in black and white. Crazed penguins, blinded by the eclipse, stumbling around Antarctica, forgotten by us all. Unfortunately, just another case of out of sight, out of mind.

Doug Walker Baulkham Hills

Correction A letter on Thursday about the Manus Island detention centre referred to ''Lieutenant-General Angus Houston''. It should have said Lieutenant-General Angus Campbell.